Multiple IRRs can be calculated using IRR function in excel.
IRR 1 = IRR(-40, 64, -13, 0) = 36.12%
IRR 2 = IRR(-40, 63, - 13, -100%) = -76.12%
only need b (two IRRs) Light Sweet Petroleum, Inc., is trying to evaluate a generation project...
Light Sweet Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year Cash Flow -$48,000,000 71,000,000 -13,000,000 1 2 a-1. What is the NPV for the project if the company requires a 12 percent return? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) NPV a-2. Should the firm accept this project? Yes No This project has two IRR's, namely b. percent, in order percent and from smallest to...
Problem 5-13 Problems with IRR Howell Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year 0 1 2 Cash Flow 39,500,000 63,500,000 - 12,500,000 a-1. What is the NPV for the project if the company requires a return of 11 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) NPV Should the firm accept this project? Ο Νο Yes b. (A negative answer should be indicated by...
Howell Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year 0 1 2 Cash Flow 538,400,000 62,400,000 - 11,400,000 a-1. What is the NPV for the project if the company requires a return of 10 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) NPV 9. Should the firm accept this project? O No Yes b. (A negative answer should be indicated by a minus sign. Do...
Howell Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year Cash Flow 0 = –$38,000,000 1 = $62,000,000 2 = – $11,000,000 a-1. What is the NPV for the project if the company requires a return of 11 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) a-2. Should the firm accept this project? Yes or No b. (A negative answer should be indicated by a minus...
Need the 2ND IRR please! Howell Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year o Cash Flow -$39,500,000 60,500,000 -14,500,000 2 a. If the company requires a return of 8 percent on its investments, what is the NPV of the project? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. Compute the IRRs for this project. (Do not round intermediate calculations and enter your answers as...
Howell Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year Cash Flow 0 –$ 43,000,000 1 67,500,000 2 – 18,000,000 a. If the company requires a return of 11 percent on its investments, what is the NPV of the project? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) NPV $ b. Compute the IRRs for this project. (Do not round intermediate calculations and...
Howell Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year Cash Flow -$40,000,000 0 61,500,000 -15,000,000 2. If the company requires a return of 10 percent on its investments, what is the NPV of the project? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. Compute the IRRs for this project. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal...
Howell Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year Cash Flow 0 –$38,000,000 1 56,000,000 2 –9,000,000 a. If the company requires a 10 percent return on its investments, what is the NPV of the project? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. Compute the IRRs for this project. (A negative answer should be indicated by a minus sign. Enter your...
Howell Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year Cash Flow -$40,000,000 61,500,000 -15,000,000 2 a. If the company requires a return of 10 percent on its investments, what is the NPV of the project? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. Compute the IRRs for this project. (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal...
Howell Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year Cash Flow -$40,000,000 O EN 61,500,000 -15,000,000 a. If the company requires a return of 10 percent on its investments, what is the NPV of the project? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. Compute the IRRs for this project. (Do not round intermediate calculations and enter your answers as a percent rounded to 2...